The document discusses various aspects of product and service design. It covers trends in design such as increased emphasis on customer satisfaction and environmental concerns. It describes the design process from idea generation to testing prototypes. Key aspects discussed include quality function deployment to understand customer needs, concurrent engineering, and designing for manufacturability. The document also compares differences between designing tangible products versus intangible services.
2. Major factors in strategy
◦ Cost
◦ Quality
◦ Time-to-market
◦ Customer satisfaction
◦ Competitive advantage
Product and Service Design
3. Trends in Product & Service Design
Increased emphasis on or attention to:
◦ Customer satisfaction
◦ Reducing time to introduce new product
or service
◦ Reducing time to produce product
4. Trends in Product & Service Design (Cont’d)
Increased emphasis on or attention to:
◦ The organization’s capabilities to produce or deliver
the item
◦ Environmental concerns
◦ Designing products & services that are “user friendly”
◦ Designing products that use less material
5. Product or Service Design Activities
Translate customer wants and needs into
product and service requirements
Refine existing products and services
Develop new products and services
Formulate quality goals
Formulate cost targets
Construct and test prototypes
Document specifications
6. Reasons for Product or Service
Design
Be competitive
Increase business growth & profits
Avoid downsizing with development of new
products
Improve product quality
Achieve cost reductions in labor or materials
7. Objectives of Product and Service Design
Development time and cost
Product or service cost
Resulting product or service quality
Capability to produce or deliver a given
product or service
8. Design Process
Idea Generation
Feasibility Study
Functional
Design
Production
Design
Pilot Run and Final Tests
New Product or Service
Launch
Design
Specifications
Manufacturing
of Delivery
Specifications
Marketing
Competitors
R & D
Form Design Testing Prototypes
9. Idea Generation:
• Perceptual Map – A visual method of comparing customer perception
• Benchmarking: Comparing product or process with the best in the
world
• Reverse Engineering: Carefully dismantling competitors product to
improve own product
Feasibility Study:
A feasibility study consists of a market analysis , an economic analysis ,
and a technical and strategic analysis.
Form Design: Physical appearance of a product – its color
,size and style
Functional design: How the product will perform- Reliability
– Probability that a product will perform its intended function for a
specified period of time
10. Production Design:
How the product will be made
Simplification : reduces the number of parts , assemblies or
options in a product
13. Kano Analysis
Voice of Customer Types – e.g. Automobile
Must-Be (Dissatisfiers) – Requirement that
can be dissatisfy, but cannot increase
satisfaction. e.g. Brakes (Good brakes are expected)
Satisfiers – The more of these
requirements that are met , more one is
satisfied. E.g. Gas Mileage
Delighters: If the requirement is absent, it
does not cause dissatisfaction, but it will
delight customers if present. e.g. Retractable
Radio Antenna
14. Kano Analysis
Retractable Radio Antenna
Rear Window wiper
Electronic door locker
Gas Mileage
Warranty period
Turning radius
Brakes
Engine cooling system
Wind shield
Customer
Requirement
s (VOC) for
an
automobile
15. Sources of Ideas for Products and
Services
Internal
◦ Employees
◦ Marketing department
◦ R&D department
External
◦ Customers (QFD)
◦ Competitors
◦ Suppliers
16. Quality Function Deployment
Quality Function Deployment
◦ Voice of the customer
◦ House of quality
QFD: An approach that integrates the “voice of the
customer” into the product and service development
process.
18. Research & Development (R&D)
Organized efforts to increase scientific
knowledge or product innovation & may
involve:
◦ Basic Research advances knowledge about a
subject without near-term expectations of
commercial applications.
◦ Applied Research achieves commercial
applications.
◦ Development converts results of applied
research into commercial applications.
20. Regulations & Legal Considerations
Product Liability - A manufacturer is liable
for any injuries or damages caused by a
faulty product.
Uniform Commercial Code - Products carry
an implication of merchantability and
fitness.
22. Life Cycles of Products or Services
Time
Incubation
Growth
Maturity
Saturation
Decline
Deman
d
23. Advantages of Standardization
Fewer parts to deal with in inventory &
manufacturing
Reduced training costs and time
More routine purchasing, handling, and
inspection procedures
24. Advantages of Standardization (Cont’d)
Orders fillable from inventory
Opportunities for long production runs and
automation
Need for fewer parts justifies increased
expenditures on perfecting designs and
improving quality control procedures.
25. Disadvantages of Standardization
Designs may be frozen with too many
imperfections remaining.
High cost of design changes increases
resistance to improvements.
Decreased variety results in less consumer
appeal.
26. Mass Customization
Mass customization:
◦ A strategy of producing standardized goods or
services, but incorporating some degree of
customization
◦ Delayed differentiation
◦ Modular design
28. Modular Design
Modular design is a form of standardization in
which component parts are subdivided into
modules that are easily replaced or
interchanged. It allows:
◦ easier diagnosis and remedy of failures
◦ easier repair and replacement
◦ simplification of manufacturing and assembly
29. Reliability
Reliability: The ability of a product, part, or
system to perform its intended function under a
prescribed set of conditions
Failure: Situation in which a product, part, or
system does not perform as intended
Normal operating conditions: The set of
conditions under which an item’s reliability is
specified
31. Robust Design: Design that results in
products or services that can function over a
broad range of conditions
Robust Design yields a product or service
designed to withstand variations
Designers job is to choose values for
controllable variables that react in a robust
fashion to the possible occurrences of
uncontrollable factors
Robust Design
32. Taguchi Approach Robust Design
Design a robust product
◦ Insensitive to environmental factors either in
manufacturing or in use.
Central feature is Parameter Design.
Determines:
◦ factors that are controllable and those not
controllable
◦ their optimal levels relative to major product
advances
33. Designing for Manufacturing
Beyond the overall objective to achieve customer
satisfaction while making a reasonable profit is:
Design for Manufacturing(DFM)
The designers’ consideration of the
organization’s manufacturing capabilities when
designing a product.
The more general term design for operations
encompasses services as well as manufacturing
36. Computer-Aided Design
Computer-Aided Design (CAD) is product
design using computer graphics.
◦ increases productivity of designers, 3 to 10 times
◦ creates a database for manufacturing information on
product specifications
◦ provides possibility of engineering and cost analysis
on proposed designs
40. Tangible – intangible
Services created and delivered at the same
time
Services cannot be inventoried
Services highly visible to customers
Services have low barrier to entry
Location important to service
Differences Between Product
and Service Design
41. Service Variability & Customer
Influence Service Design
Variability
in
Service
Require-
ments
Degree of Contact with Customer
High
Moderate
Low
None
None Low Moderate High
Telephone
Purchase
Dept. Store
Purchase
Customized
Clothing
Internet
Purchase
42. Quality Function Deployment
Quality Function Deployment
◦ Voice of the customer
◦ House of quality
QFD: An approach that integrates the “voice of the
customer” into the product and service development
process.
43. The House of Quality
Correlation
matrix
Design
requirements
Customer
require-
ments
Competitive
assessment
Relationship
matrix
Specifications
or
target values
44. Customer
Requirements
Easy to close
Stays open on a hill
Easy to open
Doesn’t leak in rain
No road noise
Importance weighting
Engineering
Characteristics
Energyneeded
toclosedoor
Checkforce
onlevel
ground
Energyneeded
toopendoor
Waterresistance
10 6 6 9 2 3
7
5
3
3
2
X
X
X
X
X
Correlation:
Strong positive
Positive
Negative
Strong negative
X
*
Competitive evaluation
X = Us
A = Comp. A
B = Comp. B
(5 is best)
1 2 3 4 5
X AB
X AB
XAB
A X B
X A B
Relationships:
Strong = 9
Medium = 3
Small = 1
Target values
Reduceenergy
levelto7.5ft/lb
Reduceforce
to9lb.
Reduceenergy
to7.5ft/lb.
Maintain
currentlevel
Technical evaluation
(5 is best)
5
4
3
2
1
B
A
X
BA
X B
A
X
B
X
A
BXA
BA
X
Doorseal
resistance
Accoust.Trans.
Window
Maintain
currentlevel
Maintain
currentlevel
House of Quality Example